Proposed Business Strategy for Small Medium Enterprises (SMEs) (Case Study: Rimbang SMEs of Clothing Industry)

Abstract

Rimbang is one of Small Medium Enterprises (SMEs) of Clothing Industry that provides kids professional uniforms in Bandung, Indonesia. At present, as the growth of SMEs continues to increase and with the presence of marketplace platforms become one of the causes of the decline in product sales over the last three years, namely in the years 2017, 2018 and 2019.
 This research was conducted to develop the most suitable strategy based on existing internal and external factors. The results of internal factors analysis demonstrate the strength of reputation and good relationship and weakness in the form of a product type that is seasonal and easily emulated. The results of external factors analysis show the opportunity of online sales and future integration and threats in the form of potential newcomers and higher competencies. Analysis results are used to formulate strategies using SWOT Analysis, TOWS Matrix and Porter's Generic Strategy.
 The proposed strategy is the Cost Leadership Strategy and Forward Integration as a strategy used to improve and develop existing business strategies and marketing strategies. These strategies are done by developing limited resources, implementing effective value chain activities and conducting product marketing directly to end consumers through online and offline sales.